The answer to the fuel hedging blunder!
Thread Starter
Joined: Jan 2013
Posts: 5
Likes: 0
From: The Orient
The answer to the fuel hedging blunder!
It appears that CX has finally found the answer to the fuel hedging blunder!!
In a time of near record low fuel prices and airlines (most) making good to record profits due to the benefit of low fuel prices, what does an airline do when fuel hedging loses outstrip operating profit?
What do they do when the authority approving fuel surcharges (CAD), and rightly so, says no due to the very low cost of fuel?
What do you do at a time when other airlines are investing in their product to attract passengers and we are cost cutting to the bone?
You come up with a solution that is an insult to every passenger who is about to purchase a ticket with the airline.
Pop quiz. What did CX do:
a) Publicly admit the blunder and take steps to ensure you have people in place who actually know what they are doing and put in place a strategy to invest in your business to attract passengers and improve relations with staff.
or
b) Circumvent the CAD embargo on fuel surcharges by charging a fuel surcharge for all flights originating outside Hong Kong, effective from 15 September 2016.
Words fail me.
In a time of near record low fuel prices and airlines (most) making good to record profits due to the benefit of low fuel prices, what does an airline do when fuel hedging loses outstrip operating profit?
What do they do when the authority approving fuel surcharges (CAD), and rightly so, says no due to the very low cost of fuel?
What do you do at a time when other airlines are investing in their product to attract passengers and we are cost cutting to the bone?
You come up with a solution that is an insult to every passenger who is about to purchase a ticket with the airline.
Pop quiz. What did CX do:
a) Publicly admit the blunder and take steps to ensure you have people in place who actually know what they are doing and put in place a strategy to invest in your business to attract passengers and improve relations with staff.
or
b) Circumvent the CAD embargo on fuel surcharges by charging a fuel surcharge for all flights originating outside Hong Kong, effective from 15 September 2016.
Words fail me.
Joined: May 2008
Posts: 507
Likes: 43
From: US
Folks throw darts at the usual suspects whereas I've come up with a most elegant solution. We've gotta start going really fast, carry more fuel, configure early and stop doing RETI, etc.
Maybe even fly with the throttles up and speed brakes out when conditions permit.
Gotta get through all that expensive gas as quick as we can to put us back on track so we can start making money again !
Maybe even fly with the throttles up and speed brakes out when conditions permit.
Gotta get through all that expensive gas as quick as we can to put us back on track so we can start making money again !
Joined: Aug 2014
Posts: 45
Likes: 0
From: Hong Kong
At one stage I thought that there may be some cunning plan with another subsidiary company that was picking up cheap fuel and selling it to CX at the advertised high price , thereby putting huge profits into Swires accounts without having to pay shareholders dividends .
Alas NO ! The stupidity of this management team never fails to amaze . Gouge the passengers because we f'..ed up, so they must pay for our crappy decisions
The swire board must be disconnected from reality or MIA due to their failure to replace the entire management team .
At least then they could come out and tell the passengers our team screwed up , we have fired the lot and installed a new team to put this airline back on track.
Please stick with us during this transition. But expect to see great things
Alas NO ! The stupidity of this management team never fails to amaze . Gouge the passengers because we f'..ed up, so they must pay for our crappy decisions
The swire board must be disconnected from reality or MIA due to their failure to replace the entire management team .
At least then they could come out and tell the passengers our team screwed up , we have fired the lot and installed a new team to put this airline back on track.
Please stick with us during this transition. But expect to see great things
